BILL NUMBER: AB 2688	CHAPTERED  09/30/00

	CHAPTER   938
	FILED WITH SECRETARY OF STATE   SEPTEMBER 30, 2000
	APPROVED BY GOVERNOR   SEPTEMBER 29, 2000
	PASSED THE SENATE   AUGUST 18, 2000
	PASSED THE ASSEMBLY   APRIL 27, 2000
	AMENDED IN ASSEMBLY   APRIL 24, 2000

INTRODUCED BY   Committee on Agriculture (Cardoza (Chair), Maldonado
(Vice Chair), Briggs, Florez, House, Reyes, and Thomson)

                        FEBRUARY 25, 2000

   An act to amend Section 10321 of the Public Contract Code,
relating to fairs.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2688, Committee on Agriculture.  Fairs:  expenditure reporting.

   Existing law generally requires state and local agencies to
conform to specified contracting procedures, and imposes specified
reporting requirements in connection with the expenditure of state
funds.  Existing law authorizes the Department of Food and
Agriculture to develop an alternative contracting procedure, however,
for specified local purchases by district agricultural associations,
county and citrus fruit fairs, and the California Exposition and
State Fair, individually or cooperatively.
   This bill would state findings and declarations of the Legislature
with regard to expenditure reporting requirements applicable to
district agricultural associations and county and citrus fruit fairs,
and would authorize the Secretary of Food and Agriculture to
develop, in consultation with the Department of General Services, an
alternative expenditure reporting procedure from the State
Administrative Manual applicable to those fairs with annual
reportable expenditures of not more than $1,000,000.  The bill would
provide that this alternative procedure shall, at a minimum, maintain
an audit trail and protect the ability of state auditors to confirm
the proper use of state funds.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 10321 of the Public Contract Code is amended to
read:
   10321.  (a) (1) The Legislature finds and declares that fairs are
a valuable community resource and recognizes that local businesses
and local communities make valuable contributions to fairs that
include direct and indirect support of fair programs.  The
Legislature further finds and declares that local businesses often
provide opportunity purchases to local fairs that, for similar things
available through the state purchasing program, may be purchased
locally at a price equivalent to or less than that available through
the state purchasing program.
   (2) Notwithstanding any other provision of law, the Department of
Food and Agriculture shall develop criteria to be applied for
opportunity purchases that are made by district agricultural
associations, county and citrus fruit fairs, and the California
Exposition and State Fair, individually or cooperatively.
   (3) As used in this subdivision, opportunity purchases means
purchases made locally, either individually or cooperatively, at a
price equal to or less than the price available through the state
purchasing program on or off state contract.
   (b) (1) The Legislature finds and declares that district
agricultural associations and county and citrus fruit fairs often do
not have large, full-time staffs, and consequently the generally
applicable expenditure reporting requirements contained in the State
Administrative Manual (SAM) can represent an unreasonable paperwork
burden upon those associations and fairs.
   (2) Notwithstanding any other provision of law, the Secretary of
Food and Agriculture may develop, in consultation with the Department
of General Services, an alternative expenditure reporting procedure
from the State Administrative Manual applicable to district
agricultural associations and county and citrus fruit fairs with
annual reportable expenditures of not more than one million dollars
($1,000,000).  This procedure, at a minimum, shall maintain an audit
trail and protect the ability of state auditors to confirm the proper
use of state funds.
